INTRODUCTION
- Apart from readjustment of rights of partners in the share of profit by way of change in the profit sharing ratio and admission of a new partner or for retirement/death of a partner, another important aspect of partnership accounts is how to close books of accounts in case of dissolution.
- In this Unit, we will discuss the circumstances leading to dissolution of a partnership firm and accounting treatment necessary to close its books of accounts. Also we will discuss the special problems relating to insolvency of partners and settlement of partnership’s liabilities.
No comments:
Post a Comment